Comparing Kite Realty Group Trust (NYSE:KRG) & New York Mortgage Trust (NASDAQ:NYMT)

Kite Realty Group Trust (NYSE:KRG) and New York Mortgage Trust (NASDAQ:NYMT) are both finance companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, dividends, institutional ownership, profitability, earnings, analyst recommendations and risk.

Profitability

This table compares Kite Realty Group Trust and New York Mortgage Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kite Realty Group Trust	-2.95%	-0.69%	-0.35%
New York Mortgage Trust	-36.43%	-1.98%	-0.26%

Dividends

Kite Realty Group Trust pays an annual dividend of $1.04 per share and has a dividend yield of 4.4%. New York Mortgage Trust pays an annual dividend of $0.80 per share and has a dividend yield of 13.7%. Kite Realty Group Trust pays out 400.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. New York Mortgage Trust pays out -43.2% of its earnings in the form of a dividend. New York Mortgage Trust is clearly the better dividend stock, given its higher yield and lower payout ratio.

Insider and Institutional Ownership

90.8% of Kite Realty Group Trust shares are held by institutional investors. Comparatively, 54.9% of New York Mortgage Trust shares are held by institutional investors. 2.0% of Kite Realty Group Trust shares are held by insiders. Comparatively, 1.5% of New York Mortgage Trust shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Volatility and Risk

Kite Realty Group Trust has a beta of 1.31, meaning that its share price is 31% more volatile than the S&P 500. Comparatively, New York Mortgage Trust has a beta of 1.93, meaning that its share price is 93% more volatile than the S&P 500.

Valuation and Earnings

This table compares Kite Realty Group Trust and New York Mortgage Trust’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kite Realty Group Trust	$827.37 million	6.29	$47.50 million	$0.26	91.15
New York Mortgage Trust	$258.66 million	2.05	-$48.67 million	($1.85)	-3.16

Kite Realty Group Trust has higher revenue and earnings than New York Mortgage Trust. New York Mortgage Trust is trading at a lower price-to-earnings ratio than Kite Realty Group Trust, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent recommendations for Kite Realty Group Trust and New York Mortgage Trust, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kite Realty Group Trust	1	2	3	0	2.33
New York Mortgage Trust	0	2	1	0	2.33

Kite Realty Group Trust presently has a consensus price target of $26.00, indicating a potential upside of 9.70%. New York Mortgage Trust has a consensus price target of $8.00, indicating a potential upside of 36.75%. Given New York Mortgage Trust’s higher probable upside, analysts plainly believe New York Mortgage Trust is more favorable than Kite Realty Group Trust.

Summary

Kite Realty Group Trust beats New York Mortgage Trust on 10 of the 15 factors compared between the two stocks.

About Kite Realty Group Trust

Kite Realty Group Trust (NYSE: KRG) is a real estate investment trust (REIT) headquartered in Indianapolis, IN that is one of the largest publicly traded owners and operators of open-air shopping centers and mixed-use assets. The Company's primarily grocery-anchored portfolio is located in high-growth Sun Belt and select strategic gateway markets. The combination of necessity-based grocery-anchored neighborhood and community centers, along with vibrant mixed-use assets makes the KRG portfolio an ideal mix for both retailers and consumers. Publicly listed since 2004, KRG has nearly 60 years of experience in developing, constructing and operating real estate. Using operational, investment, development, and redevelopment expertise, KRG continuously optimizes its portfolio to maximize value and return to shareholders. As of December 31, 2023, the Company owned interests in 180 U.S. open-air shopping centers and mixed-use assets, comprising approximately 28.1 million square feet of gross leasable space.

About New York Mortgage Trust

New York Mortgage Trust, Inc. acquires, invests in, finances, and manages mortgage-related single-family and multi-family residential assets in the United States. Its targeted investments include residential loans, including business purpose loans; structured multi-family property investments, such as preferred equity in, and mezzanine loans to owners of multi-family properties; non-agency residential mortgage-backed securities (RMBS); agency RMBS; commercial mortgage-backed securities (CMBS); single-family rental properties; and other mortgage, residential housing, and credit-related assets. The company also qualifies as a real estate investment trust for federal income tax purposes. It generally would not be subject to federal corporate income taxes if it distributes at least 90% of its taxable income to its stockholders. New York Mortgage Trust, Inc. was incorporated in 2003 and is headquartered in New York, New York.